Zacks Research Has Pessimistic Outlook of AFG Q3 Earnings

Key Points

• Analysts at Zacks Research have downgraded their earnings per share estimate for American Financial Group (AFG) for Q3 2025 from $2.98 to $2.41, indicating a more pessimistic earnings outlook.
• Jefferies Financial Group has raised AFG's price target from $125 to $130, while four analysts now hold a consensus "Hold" rating with an average target price of $136.75.
• American Financial Group recently declared a quarterly dividend of $0.80 per share, with a dividend yield of 2.4% and a payout ratio of 35.16%.

American Financial Group, Inc. (NYSE:AFG - Free Report) - Analysts at Zacks Research decreased their Q3 2025 EPS estimates for American Financial Group in a research note issued on Tuesday, August 19th. Zacks Research analyst Team now anticipates that the insurance provider will post earnings per share of $2.41 for the quarter, down from their prior forecast of $2.98. The consensus estimate for American Financial Group's current full-year earnings is $10.50 per share. Zacks Research also issued estimates for American Financial Group's Q1 2026 earnings at $2.81 EPS, Q3 2026 earnings at $3.17 EPS and FY2026 earnings at $11.41 EPS.

A number of other equities analysts have also commented on the stock. Jefferies Financial Group raised their price objective on shares of American Financial Group from $125.00 to $130.00 and gave the stock a "hold" rating in a research note on Monday, August 11th. Wall Street Zen raised shares of American Financial Group from a "sell" rating to a "hold" rating in a research note on Saturday, August 9th. Finally, Keefe, Bruyette & Woods decreased their target price on shares of American Financial Group from $127.00 to $124.00 and set a "market perform" rating for the company in a research note on Tuesday, August 12th. Four analysts have rated the stock with a Hold rating, According to MarketBeat.com, American Financial Group presently has an average rating of "Hold" and an average target price of $136.75.

American Financial Group Price Performance

American Financial Group stock traded up $2.12 during mid-day trading on Friday, hitting $136.42. The company's stock had a trading volume of 113,483 shares, compared to its average volume of 497,190. The company has a quick ratio of 0.47, a current ratio of 0.47 and a debt-to-equity ratio of 0.33. The stock has a market capitalization of $11.38 billion, a P/E ratio of 14.99 and a beta of 0.74. American Financial Group has a twelve month low of $114.73 and a twelve month high of $150.19. The stock's fifty day moving average price is $127.45 and its two-hundred day moving average price is $126.00.

American Financial Group (NYSE:AFG - Get Free Report) last announced its quarterly earnings results on Tuesday, August 5th. The insurance provider reported $2.14 EPS for the quarter, beating the consensus estimate of $2.08 by $0.06. American Financial Group had a net margin of 9.21% and a return on equity of 17.41%. The company had revenue of $1.65 billion for the quarter, compared to analyst estimates of $1.77 billion. During the same quarter last year, the business earned $2.56 earnings per share. American Financial Group's revenue was up 1.3% compared to the same quarter last year.

American Financial Group Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, July 25th. Stockholders of record on Tuesday, July 15th were given a dividend of $0.80 per share. This represents a $3.20 annualized dividend and a dividend yield of 2.3%. The ex-dividend date was Tuesday, July 15th. American Financial Group's payout ratio is 35.16%.

Insider Buying and Selling

In other American Financial Group news, Director Stephen Craig Lindner, Jr. sold 10,000 shares of the business's stock in a transaction dated Thursday, August 21st. The shares were sold at an average price of $134.31, for a total value of $1,343,100.00. Following the transaction, the director directly owned 326,730 shares in the company, valued at $43,883,106.30. The trade was a 2.97% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. 17.40% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On American Financial Group

Large investors have recently bought and sold shares of the company. Envestnet Asset Management Inc. boosted its holdings in American Financial Group by 10.8% during the first quarter. Envestnet Asset Management Inc. now owns 59,633 shares of the insurance provider's stock worth $7,832,000 after purchasing an additional 5,799 shares during the last quarter. Sowell Financial Services LLC bought a new position in American Financial Group during the first quarter worth about $282,000. Teacher Retirement System of Texas bought a new position in American Financial Group in the 1st quarter valued at about $1,370,000. Private Trust Co. NA boosted its stake in shares of American Financial Group by 144.3% in the 1st quarter. Private Trust Co. NA now owns 215 shares of the insurance provider's stock valued at $28,000 after purchasing an additional 127 shares in the last quarter. Finally, QRG Capital Management Inc. boosted its stake in shares of American Financial Group by 10.5% in the 1st quarter. QRG Capital Management Inc. now owns 5,427 shares of the insurance provider's stock valued at $713,000 after purchasing an additional 514 shares in the last quarter. Institutional investors own 64.37% of the company's stock.

American Financial Group Company Profile

American Financial Group, Inc, an insurance holding company, provides specialty property and casualty insurance products in the United States. The company offers property and transportation insurance products, such as physical damage and liability coverage for buses and trucks, inland and ocean marine, agricultural-related products, and other commercial property and specialty transportation coverages; specialty casualty insurance, including primarily excess and surplus, executive and professional liability, general liability, umbrella and excess liability, and specialty coverage in targeted markets, as well as customized programs for small to mid-sized businesses and workers' compensation insurance; and specialty financial insurance products comprising risk management insurance programs for lending and leasing institutions, fidelity and surety products, and trade credit insurance.